>> stephen: welcome to the report. thank you for joining us. [cheers and applause] folks, thank you so much. [cheers and applause] ladies and gentlemen, you know if you watch this show, if you read the news, if you know what is going on in america there's no denying that barack obama has been a failed president. [laughter] as terrible as president obama has been, his cabinet appointments have been worse. i mean, transportation secretary ray lahood? why? because his name's got a car part in it? that's a low standard. [ laughter ] what is next? secretary of the treasury penny mcnickel? now he wants the new defense secretary to be former republican senator chuck hagel. thankfully, today 15 republican senators demanded the withdrawal of hagel's nomination and it's no wonder. senate republicans have found all sorts of shady associations in hagel's past. for instance, he was once a senate republican.